London is the top financing centre for the global transport industry, according to a survey published today.
However, it faces stiff competition from New York and capitals in Asia Pacific as companies seek to tap more funding sources.
Almost four out of 10 key executives from the aviation, rail and shipping sectors ranked London as the key financial centre for transport, followed by New York at 14% and Singapore at 7%, the survey by international law firm Norton Rose found.
“London and New York remain key financial centres for the transport industry but are looking over their shoulders at Asia, which is growing in importance,” said Harry Theochari, global head of transport at Norton Rose.
Of those canvassed, 43% from the rail industry said London was most favoured as a financing hub, followed by 40% in the shipping sector and 31% in aviation.
The annual survey is one of the transport sector’s leading barometers of market conditions.
The survey said shipping companies were looking at alternatives due to tough trading conditions.
“A dramatic reduction in the availability of debt finance in the London market means that shipping is increasingly turning to structured finance and private equity,” Theochari said. “This gives New York a distinct advantage.”
